Continental Resources’ leverage
Since 4Q14, Continental Resources’ (CLR) total debt has risen ~11%. In 4Q16, the company’s total debt was $6.6 billion, compared with ~$7.1 billion in 4Q15, a decline of ~7.6%.
CLR’s total-debt-to-equity ratio rose from 119% in 4Q14 to ~153% in 4Q16. A debt-to-equity ratio over 100% means that a company has more debt than equity. The higher the debt-to-equity ratio, the riskier the company. Meanwhile, peers Apache (APA) and Concho Resources (CXO) have debt-to-equity ratios of ~137% and ~36%, respectively.